Alternate Compounding Periods (Cont.)
{"Image DocumentName": "Alternate Compounding Periods (Cont.)", "Image ImageDescription": "Let m denote the number of compounding intervals per year, n the number of years, and r be the stated annual rate of interest. The relation between present and future values is stated as: FVn = PV(1 + r/m)n\u00d7m. e.g., if PV = 1000, r = .12 and m = 1 then FV2 is: FV2 = 1000( )2\u00d71 =   , while if m = 4 (quarterly compounding), then. FV2 = 1000( /4)2\u00d74. FV2 = 1000( )8 =", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}